Tesla Model 3 set a new record of generating $4 billion revenue in Second Quarter of 2018

a significant achievement in the ramp of Model 3

Despite all the difficulties which the company had faced while building Tesla Model 3, but the car has helped them set a new record of generating $4 Billion in the second quarter of 2018, according to the earnings report published on Friday. Another achievement which they gain is that the Model 3 finally started to make money and the idea is to sell big-budget versions of Tesla’s car so that the company can gain profit.

Tesla Model 3 is quickly recovering the costs which are used in the production referred to as slightly positive in Q2, according to Tesla. The company sent a letter to the investors which conclude: This was a significant achievement in the ramp of Model 3. Until now, the sales were declining and Tesla losing money on every Model 3 which they shipped but now the sale has increased.

Tesla explains, “Sales should grow significantly to approximately 15 percent in the third quarter and 20 percent in fourth quarter, thanks to “continued reduction in manufacturing costs and to some extent an improving mix.” From here on out, CEO Elon said during a call with analysts Wednesday evening, “the goal is to be profitable and cash flow positive every quarter going forward,” as reported by the verge.

The company also explains that they are expecting to produce 50,000 to 55,000 Model 3 vehicles in Q3, which would ultimately increase the sales from 75 to 92 percent. Tesla continues to generate more revenue irrespective of the slight drop in money which all together supports the company and there is no need to raise funds for the coming quarter.

Tesla is also currently working on new projects which will require more capital than the previous production, they are planning two new cars; Model Y and the second-generation Roadster which is an electric semi-truck. As per reports, the production scheduled to start in next three years, too, the company is in news nowadays to build the fourth Gigafactory in Europe.